The Dakota Scout

Share this post

Construction company: TIF-backed housing project on track despite cash flow challenges

www.thedakotascout.com
Sioux Falls

Construction company: TIF-backed housing project on track despite cash flow challenges

Days after Sioux Falls awarded Nielson Construction a tax break, company told vendors that market challenges would slow payments

Joe Sneve
Dec 7, 2022
2
Share this post

Construction company: TIF-backed housing project on track despite cash flow challenges

www.thedakotascout.com

A planned housing development backed by a first-of-its-kind tax break from Sioux Falls City Hall is on track despite market uncertainty placing challenges on the project developer.

The Sioux Falls City Council in mid-October awarded a $2.1 million tax increment financing package to Nielson Construction in support of a 65-unit residential development. In exchange, the company promised to sell the home at “accessible” pricing that reflects first-time homebuyer levels.

But an email sent days later by the company to dozens of its vendors and subcontractors alerting them of cash flow issues raised questions about whether the project would happen.

NEWS: Sioux Falls’ first accessible housing TIF gets approval

This post is for paid subscribers

Already a paid subscriber? Sign in
Previous
Next
© 2023 The Dakota Scout
Privacy ∙ Terms ∙ Collection notice
Start WritingGet the app
Substack is the home for great writing